Goshawk ruffled by Chaucer

RIVAL insurers Chaucer and Goshawk showed the knife edge between prosperity and poverty which such firms bestride.

Chaucer's 2003 profits soared twelve-fold to £35.8m while Goshawk tumbled to a pre-tax loss of £57.5m.

Chaucer insures against hurricanes, earthquakes and terrorist acts. It took a hit from September 11, but then premiums soared and last autumn's 'earthquake season' passed without a major incident. So profits rocketed and dividends rose from 1.35p to 2p.

The shares gained 2 1/2p to 53 1/2p and sell at barely five times earnings. Chief executive Ewen Gilmour is confident of a good 2004, but thinks 2005 may be tougher.

Goshawk chairman Paul Spencer says it was 'a traumatic year'. The Lloyd's market forced its Syndicate 102 to close after £73m losses, hit by losses on ' viatical' insurance and on the collapse of claim chaser The Accident Group. But new chairman Paul Spencer says: 'We have recovered.'

Bermuda offshoot Goshawk Re is profitable. Goshawk rose 1/2p to 42 1/2p.